The research, conducted by Find A Property as part of their latest Rental Index, has found that rental prices have increased by 1% in a year-on-year comparison. However, the current figure is still lower than the record high of £890 in September 2011.

The average net income for UK households stands at £27,242 a year, 38% of which is spent on rent – bringing the yearly rent bill to a staggering £10,416.

“Average rental prices peaked in September of last year but have come down since then, most likely as a result of more properties coming onto the market,” said Samantha Baden, property analyst at Find A Property.

“Overall, rental supply increased in the first quarter of the year, especially for bigger properties,” she added.

Tenants in London face an even larger bill, spending 71% of their net income on rent. Average annual net income in London is £36,384, with those in the Capital spending an average of £25,824 a year on rent.

The rise in rental prices and the turbulent state of the UK’s economy has also triggered a fall in lease lengths to a new low of 4.8 years. This has dropped considerably from a figure of 6.2 years in 2007.

“Smaller homes remain in limited supply and as a result, individuals and couples are still facing record asking prices for smaller flats and therefore spending a significant proportion of their overall household income on this,” added Ms Baden.

“This is particularly pertinent in areas like London where demand is high, which is why tenants looking for more affordable rental property should consider the impact of location as well as size."